The newly appointed CEO of Croissant Express plans to reinvigorate the 25 year old franchise with a total brand transformation. The chain, founded in Western Australia in 1987, was acquired by Consolidated Foods in September. It has 26 stores across WA and one in Queensland. “I think we’ve become heavily reliant on trading in Perth,” Neil Soares, CEO of Croissant Express, told Inside Retail PREMIUM. “We’ve been enjoying our success in Perth, and there’s no reason why that success can
’t be leveraged into CBDs in Sydney or Melbourne,” he said.
As part of the brand’s transformation, Soares, who was previously WA state manager for Quick Service Restaurant Holdings (QSRH), the parent company of Chicken Treat, Oporto, and Red Rooster, says the chain will create different store formats and introduce new menu items to suit Australia’s changing flavour palette.
“The current format is very much a grab and go concept. There are very few stores in foodcourts as we’ve become more of a cafe bakery model.
“When I look at how we can expand it further I think we need to be flexible and have formats that could sit comfortably in a foodcourt shopping centre environments. We’re starting to focus on creating footprints that will be relevant to the location that it goes into, and that will possibly require flexibility around our menu option too,” Soares said.
“If I look at our menu it probably hasn’t changed in about 17 years, and while we have a loyal fan base, Australian palettes have changed. The food scene is now so different, with different flavours from all around the world, so we have to look at ways our menu fits the market.
Croissant Express is eyeing Sydney as its first city outside of Perth and Brisbane, but still has apprehensions about launching in Melbourne.
“The food scene in Sydney is very competitive, but our model sits very nicely with CBD workers or commuters that are on the go.
“Melbourne I think is a little bit of a different market. We need to take our time understanding the cafe culture around Melbourne.
“It’s very much a strategic approach – understanding the market we’re going to play in rather than having a one size fits all approach.”
Soares aims to double Croissant Express’ store network by 2017.
“Expansion is probably a three year process. Over the next 12 months we will expand by a few stores, but the year will mainly be about making sure we’ve undertaken our research, validated the model we want to build, and understand the markets we want to play in.
“Over the next three years I’d certainly want to be looking at doubling our stores.”
While a new menu and store format is part of the brand’s transformation, Soares remains reluctant to completely overhaul Croissant Express’ branding.
“It seems as though companies that have been successful through the ages, the one thing that stays the same for all of them is the logo. We are looking into possibly changing our store design and colour schemes, but our logo will remain the same.”
The franchise’s new CEO is also looking to expand the chain internationally, naming Singapore and Southeast Asia as potential markets.
“We have to have success in our own backyard first. International expansion probably won’t come about within the first three years, but certainly once we tweak the model and understand the Australian market properly we would look to expand internationally.
“I think the safe option is always to look at markets that are similar to Australia. I think Singapore and Southeast Asia are markets we could cater for very well, but it’s not just about opening internationally, it’s also making sure we can support it and grow.”
This article first appeared in Inside Retail PREMIUM issue 1991.